#427 - The Amazon Profit Killer Owners Overlook. And It’s Not PPC.

Selling on Amazon with Andy Isom

Andy Isom

Amazon, Business, Amazonfba, Selling, Marketing, Entrepreneurship, Personalbusiness, Productbusiness, Ecommerce, Onlinebusiness

4.9 • 816 Ratings

🗓️ 23 May 2025

⏱️ 14 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

Most Amazon brand owners blame ads for shrinking profits—but the real killer might be hiding in your inventory.

In this episode, I break down the silent profit leaks that sneak past your ad dashboard but impact your P&L: slow sell-through, poor inventory utilization, over-ordering, and mounting FBA storage fees. I’ll give you a practical checklist to audit your inventory strategy, including how to catch flat TACoS with falling profit, calculate SKU-level break-even sell-through rates, and stop reordering out of fear.

Plus, I kick things off with:

Two Amazon Seller Central News updates you may have missed this week.
A quick look inside some creative projects I'm working on for agency clients.

If you're ready to plug holes in your Amazon Inventory Boat, this one's for you. ⛵️

Get your free Amazon Brand Audit at www.weavos.io

Transcript

Click on a timestamp to play from that location

0:00.0	We like to blame rising PPC advertising costs for profit drain on Amazon, but a lot of sellers
0:05.4	that I've met recently are bleeding cash in a completely different way, and they don't even
0:10.4	know it.
0:15.4	What's up guys?
0:20.5	Welcome to Built by Business with Andy Isom. Before we get into the
0:23.9	meet of today's topic, I do want to quickly cover a couple of Amazon updates that you might have
0:28.6	missed. If you're sitting on extra inventory, which wink wink relates to today's episode,
0:33.1	Amazon just announced a Memorial Day outlet push that runs through May 26th, any outlet deals
0:38.9	with 30% or more off will get featured on a special Amazon homepage banner, which can increase
0:44.7	your visibility. To qualify, log into Cellar Central, go to advertising, deals, and either
0:50.6	edit an existing deal or create a new one with the 30% minimum discount.
0:56.1	If you've got slow-moving stock or aging FBA units, now is the time to push that inventory
1:02.8	out and take advantage of this offer.
1:05.6	The other update that I wanted to share from Amazon Seller Central News is buyer-seller
1:09.6	messaging is getting stricter. As of May 21st,
1:13.2	Amazon has removed the ability to tag messages as important in buyer-selling messaging to override
1:19.7	buyer opt-outs. You can still contact buyers about order critical issues, but anything that smells
1:26.1	remotely like marketing is going to be
1:28.9	restricted. The best way to stay compliant is just to use Amazon's built-in message templates.
1:33.6	They now auto-flag critical messages and translate them to the buyer's preferred language.
1:39.0	I've got a few interesting content projects that I'm working on right now for clients in my agency
1:43.8	that I'm actually really excited about for clients in my agency that I'm
	...

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